BEIJING, Nov. 1, 2007 (AP) -- Lenovo Group, the world's No. 3 personal computer maker, said Thursday its profits in the latest quarter jumped 177 percent as it captured a bigger share of the market following a restructuring.

Earnings for its fiscal second quarter totaled $105.3 million, up from $37.9 million a year earlier, the Beijing-based company said.

Revenues rose almost 20 percent to $4.4 billion, the company said.

Lenovo launched a worldwide effort to improve efficiency and increase market share after acquiring IBM Corp.'s personal computer unit in 2005.

"Our strong performance in the second quarter once again proved that Lenovo has successfully completed the integration phase of our acquisition, and we are now entering a new phase of profitable growth," Chairman Yang Yuanqing said in a statement.

The company said PC shipments for the quarter grew by 23 percent, outpacing the industry average.

Lenovo saw double-digit gains in sales of both desktop and notebook PCs, according to Chief Executive William J. Amelio.

"All of our geographies posted double-digit revenue increases," he said in the statement.

Lenovo had 8.2 percent of global PC shipments in the quarter, just ahead of Taiwan-based rival Acer Inc. with 8.1 percent, according to U.S. research firm IDC.

Lenovo is expected to fall to fourth place in the coming quarter once Acer begins counting sales by newly acquired Gateway Computers Inc., along with its own.

Lenovo said its sales in its home market of mainland China grew by 26.5 percent over the same period last year to $1.8 billion. It said shipments in the Americas, where the company has struggled, rose 12 percent.

Lenovo faces growing competition in China from No. 2 Dell, which started selling a $300 PC designed specifically for the rural Chinese market in March.

Dell, based in Round Rock, Texas, unveiled a deal in September to sell computers through hundreds of outlets of China's biggest electronics retailer, Gome Group.